Currently set to Index
Currently set to Follow

Logan Shippy’s Walmart Automation Review: What You Must Know Before Investing

June 21, 2023

walmart automation accelerator start point

Walmart Automation is being touted as the next big thing, but is a done for you store worth it?

How about making $10,000 - $15,000 every month without lifting a finger?

There's a scramble to get in on the ground floor as a seller, leveraging the Walmart brand and customer base.

Comparing it to selling on Amazon 10 years ago is a bold claim!

And what's the deal with the Automation option?

Is it the real deal or just big-ticket hype?

What is Walmart Automation?

It's basically outsourcing all the day-to-day work of having a seller store on Walmart's online marketplace.

Although the Walmart seller account is set up in your name, with your LLC and credentials, all the work is done for you.

No decisions to be made.

walmart third party seller online store

Once you're onboarded, they assign a couple of their employees to manage your store.

In return for quite a hefty down payment and the use of your credentials, you receive a % of the profits from all the sales on your account.

For our foreign friends:

Just in case you've never witnessed the wonderful world of Walmart...

There's literally a Walmart store in almost every city and town across the US. (They also operate in Canada, Mexico and a few other countries)

Walmart stores sell just about anything you could need - food, clothes, toys, decor, furniture, pet food and much, much more.

They're notorious for being cutthroat with their suppliers over pricing, usually making them the cheapest place to shop.

As a consequence, they have a bad rep for destroying local businesses in every community they move into.

Unfortunately, they also pay their store workers such low wages that most of them have to claim food stamps to help make ends meet.

Love em' or hate em' they are a giant name here in the US.

Oh, and there's some weird and wonderful folk who shop at Walmart. Check YouTube for "people of Walmart" and it will blow your mind!


Hey, I'm Ippei!

Until 2014, like many of the people I review, I was working in a corporate job from 9 to 5.

Not only was it soul-crushing, but it didn't give me any time to pursue my bigger goals.

That was until I discovered a method to rank sites organically, generating free leads for my clients.

That website you see above, for the tree care company, I created it in 2015, and since then I haven't had to touch or update it:

It has gained me a passive income of $2000 a month.

That's more than $100,000 for one site, in 5 years.

That's the magic of the Lead Generation business, it's by far the best model to generate passive income. If you want to know more, just hop over here!

What's All the Hype Around Selling on Walmart?

Let's be honest here...

Whenever there's a new way to make money, there's a flood of people trying to get in on the action.

It never takes long for the gurus selling courses and the done-4-you solutions to follow.

TBH, that's where the real money is in the dropshipping-type business models.

I'm sure you're already familiar with Amazon.

Heck, many people have tried and failed with Amazon stores now that it's become so saturated.

reddit amazon is difficult comment

Let's give Logan and Manny credit, it's a crafty move to bait Walmart as "the next Amazon" and cause a frenzy.

eForCity walmart online seller with over 21000 reviews

Interesting to see sellers already moving mass quantities of products on the platform so the buyers must be there in volume.

How Does Walmart Automation Make Money?

Basically, it's just another form of retail arbitrage.

They find items that are selling well on other marketplaces.

Notably, in this case Amazon.

List that same product for sale on Walmart Marketplace but at a higher price.

When a sale is made, they order the item from your Amazon Prime account to ship directly to the customer.

amazon prime logo

You get a percentage of whatever profit is left over after cost of goods sold.

Alright, there's some alarm bells going off here about what could go wrong with this scheme, but first.

How Much Can You Make With Walmart Automation?

This will depend on how much you want to invest - see image below.

Plus, how much your credit limit is that allows them to keep purchasing more products.

walmart automation onboarding costs and profit split ratios

It's estimated they can float double your credit limit.

So for example:

Credit Limit = $20,000

x 2              = $40,000

@ 30% profit margin = $12,000 a month

That's before taking their cut.

Let's say it's the 50/50 split - then you make $6,000 in this example.

I guess it's not bad.

But it's really not that much given how risky the business model is.

Now, back to those glaring alarm bells.

What are the Biggest Concerns With the Walmart Automation Business Model?

There are some major concerns about this business model:

  • Using Amazon Prime as the supplier (more below)
  • Will Walmart copy Amazon by offering top-selling products at lower prices, cutting out the middle-man?
  • The platform is still developing & who know what changes are on the horizon
  • Risking a high amount of debt
  • Initial seller payouts are delayed by Walmart for 6 weeks
  • Walmart can (and has) shut down tons of accounts without any warning

There are more than a few issues here that me nervous about this business model.

People do notice when they order something from one place and it arrives in a competitors box.

And not everyone is okay turning a blind eye as long as they got their package.

They want trust who they're buying from.

victim of retail arbitrage claiming she feels cheated

Not to mention, the #1 thing that will have Walmart, Amazon, or eBay shutting down seller accounts is dissatisfied customers.

Let's add these additional concerns about relying on one of these Automated companies:

  • You have no asset so you can't sell the business
  • There's a huge upfront cost to get involved
  • You don't have any control over decisions
  • You're not learning a skill you can monetize
  • Trusting someone else with your credit line - and their going to be maxing it out
  • They're running a business in your name & you'll be responsible for anything goes wrong (i.e. getting suspended or sued by a customer)
  • A refund policy with lots of grey areas

What if your account gets suspended and they don't feel obliged to set up a new one, are you okay cutting your losses and moving on?

If not, how do you hold them accountable?

Walmart automation is one way of having a team of experts look after your business. Agencies such as Automation Ecom provide such full management services.

What Does Logan Shippy's Walmart Automation Do?

Logan and his crew handle all the grunt work for you:

  • Creating an online business presence that Walmart will believe
  • Getting you approved as a seller
  • Setting up your store
  • Finding & listing products
  • Handling the sales & customer service
  • Using your Amazon Prime account to place the orders
  • Handling any returns from your customers
walmart seller dashboard

Is there anything you have to do?

Yes, pay your credit card bills and keep as much credit as possible available for them to keep purchasing goods with your Prime account.

Who Is Logan Shippy?

Logan comes across as the charismatic salesman and voice of the operation.

All the technical know-how is handled by his partner-in-crime, Manny Hernandez.

logan shipping sitting in a chair posing for the camera

Based on his LinkedIn profile, he also does lead generation and teaches people to run their own digital marketing agency.

Logan Shippy Linkedin profile

And he runs TrueFanz which helps influencers monetize their content.

logan shippy truefanz website

He's juggling a lot of businesses by the looks of it.

Logan's has a track record of pushing various money making schemes over the years, including:

  • Crypto
  • Forex
  • Kangan Water Machines
  • Credit/loan program

Hey, not knocking the guy for his product choices, especially in his early days.

Many great sales people have put the reps in moving less than stellar products or services.

logan shippy sitting with his son on his lap

On the personal side, he comes across as a pursuing his entrepreneurial dreams and raising a young family.

How Much Do Logan & Manny Charge for Their Walmart Automation Program?

Now, Logan is very clear that there's a strict minimum in terms of a 'franchise fee' and credit line availability.

And it needs to be a business line of credit too, not personal credit.

the 2 financial requirements for being accepting into their walmart automation program

The more cash you're willing to hand over up front, the bigger your share of the profits.

BTW, that franchise fee starts at $27,500 for a 50/50 split of the profits.

And there's some qualifying questions to make sure you have the capital before you can schedule a sales call with Logan.

What Does it Take to Get a Walmart Store Up?

Walmart is a vastly different story to being able to set up a seller's account on Amazon or eBay.

Instead, they are trying to limit the marketplace to real businesses with an established reputation in the eCom space.

walmart infographic with steps to get set up as a seller

You'll need:

  • An LLC
  • US bank account
  • EIN
  • DUNS number (preferably)
  • Business website that is ranking well

Basically, you have to look like the kind of company that already has established operations supporting an eCommerce business.

And not some random person who thought they'd try dropshipping on Walmart.

Yes, you can dropship but they mean from a real supplier or distributor where you have a pre-existing business relationship.

Not retail arbitrage.

And they are starting to clamp down on the rogue dropshippers who hack their way onto the platform.

How Long Does It Take to Get a Walmart Store Up?

If all goes to plan they say it will 60-75 days to go live from when you hand over your franchise fee and sign the paperwork.

onboarding info from logan shippy

This is assuming you already have your LLC set up and get all the tasks completed pronto.

At the end of the day, this isn't going to be a fit for anyone who doesn't have access to plenty of capital and won't stress over not seeing anything back for a couple of months.

Or maybe losing it all at some point.

What Are the Benefits of Walmart Automation Stores?

If the sales pitch is to be believed, you're going to see a decent chunk of income and all you need to do is keep paying off your credit cards.

It's painted as a business in a box.

Albeit a very expensive box.

Some of the additional benefits of going with Logan's Walmart Automation opportunity include:

  • Being an early adopter in the marketplace
  • People are still getting away with dropshipping from Amazon (for the most part)
  • You're getting their expertise in setting up a store and picking products that sell
  • They have a warehouse & system to handle returns
  • Being able to leverage the credit card points & travel perks
  • They already have a team of employees (US and foreign) handling the workload

Plus you get to tap into Walmart's massive $36,000,000 per hour revenue generating machine.

walmart produces 36 million dollars of sales revenue per hour

But is it really that simple or is it too good to be true?

And the Risks With Walmart Automation Stores?

The most glaring risk is handing over $27,500 - $50,000 of your money with no real guarantees.

Infamous YouTuber Coffeezilla goes to town on the problems with these Automation outfits and while it's a clickbait title, he has some valid points.

coffeezilla walmart automation scam video on YouTube

Logan did create his own video in response but doesn't really address the issues.

It's more of a sales pitch.

logan shippy coffeezilla response youtube video

To be fair, I'm focused more on the risks of the business model and outsourcing everything to a 3rd party - not so much which automation company you decide to trust.

As for Logan and Manny, they have a statement about a refund or partial refund if the store isn't profitable.

But there's also a clause about not owing anything back if your store get shutdown.

Which is a very real threat.

Wait, but this doesn't make sense to me.

The only people working on the store are their employees.

They decide:

  1. 1
    What to sell
  2. 2
    Where to source it
  3. 3
    All the customer service

Yet, if their actions results in a suspension, it's you that suffers the financial losses.

And let's face it.

Their process for getting stores approved isn't 100% kosher.

Not to mention, their product sourcing method is against both Walmart and Amazon's terms of service.

With Walmart Marketplace being in it's early stages, you can bet on a lot more algorithms and regulating seller behavior as they grow.

What could go wrong there, right?

comment about it being risky to ship from Amazon directly to the walmart customer

From another prominent promoter of Walmart Automation who's transparent about the risk and going to grab what she can in the meantime.

That might be the best way to look at this opportunity - a short term snatch and grab.

Is it Legal to Ship from Amazon to Walmart?

While it's not technically illegal in the sense that the cops are going to come knocking down your door, it is a serious breach of Walmart's terms of service.

walmart statement on not purchasing from another retailer and selling to walmart customer

Given that Logan and Co are using your Amazon Prime account(s) to ship these items, you're also violating Amazon's terms of service.

amazon prime statement about not for use to ship to a members customers

It very clearly states that you cannot use your Prime membership to send products as a reseller. 

walmart sellers rule about not using amazon or branded packaging to ship to customer

And having packages delivered in a competitors packaging is a serious no-no. 

Which is hard to prevent when Amazon ships using Prime-branded packaging.

I guess the question is whether Amazon is making enough money off those sales to let it slide.

Let's be real here, they still make money whenever an item is a sold so the more the better, as long as no one cries foul.

Best hope the customer doesn't decide to look up the item on Amazon and feel they've been ripped off though.

What's a Safer Way to Make Serious Money Online?

My #1 recommendation is still standing the test of time.

I've built a successful Local Lead Generation business from scratch to over $52k a month.

And now I get to help others change their lives doing the same thing.

Local lead generation is impossible to saturate.

Once you learn the secret sauce, you can apply it in so many ways that produce serious levels of income.

Many students are making more in a month than they used to do in an entire year at their soul-sucking 9-5.

And have the freedom to do it working from anywhere.

What is Local Lead Generation?

At it's core, local lead generation is strategically placing a website to target a service in a specific geo-location.

Hence the local factor in the name.

Lansing tree service

We rank these 'digital assets' and when they start dripping hot leads, we route them directly to a local business owner who's grateful to have a flood of new customers.

See, a lot of business owners are great at what they do - plumbing, roofing, pest control, locksmith, etc.

But you need to be good at marketing to get customers.

Most businesses have a marketing budget (the good ones, at least).

Rather than spend on shared leads or buy expensive ads, they get to enjoy exclusive red-hot leads that you're sending their way.

And you get your silver to deliver in return.

I've seen business owners scale super fast.

Being able to buy new equipment and hire extra crews because of my leads.

And the best part?

These are my assets and the traffic is organic.

Meaning no one is shutting my site down and it will keep generating income for me without paying for ads.

Comparison - Walmart Automation vs Lead Gen

Walmart Automation

Earn a % of the store's profit

  • No need to deal with customers
  • Almost passive income
  • No decisions needed
  • Could replace full-time income for low earners
  • NO control
  • Handing over your credit reputation to a 3rd party
  • Requires huge upfront investment
  • Won't see a ROI for 2-3 months
  • NO assets
  • Stores are getting suspended for doing retail arbitrage
  • All the risk is on you - not the automation team
Lead Generation

Earn commission generating leads for small businesses & other phone driven local services.

  • Passive Income
  • You own the assets - they keep generating income & you can sell them
  • Plenty of niches & cities you can go into
  • Easy to scale fast without a lot of costs
  • Hire Virtual Assistants & outsource the work

What's the Best Way to Get Started With Local Lead Generation?

Honestly, the best way is learn from someone with a proven track record, who will teach you all the skills & guide you to success (without the BS).

I've seen people waste months, even years, trying to piecemeal it all together for free using YT, Google, and Reddit.

And most of them give up.

In the time they wasted doing all that research and trial and error, they could have more than paid for a quality program and be making a sweet profit.

There's a bit of a learning curve but that's a good thing.

It means the get-rich-quick folk don't want any of it.

But we have taken people from all walks of life from newbie to Lead Gen Pro.

If you're a go-getter and want a better future - do yourself a favor and take the 1st step today.

Interested in Lead Generation?

Follow Me
Ippei Kanehara

$52K per month providing lead generation services to small businesses is for digital hustlers, industry leaders and online business owners.

His #1 online business recommendation in 2024, is to build your own lead generation business.

Leave a Reply

Your email address will not be published.

  1. Ippei,
    I was very close to going with the Walmart Automation but I just couldn't get past the high
    upfront cost and the high risk. I'm retired and bored. I used to run a business doing $10M in
    sales annually. My goal now is to have a business that will allow me to work the hours I want
    and provide me with an income so that I can help my son's improve their lives. That's my goal.
    I'm going to keep reading here… See if it's for me. Thanks for helping me really understand the
    risks of Walmart Auto.

    1. Hey Mike-thanks for reading and taking the time to comment. That’s the beauty of lead generation. You can do it anywhere, anytime. And once you understand the process it’s easy to scale. If you have questions about our lead generation coaching program feel free to book a call and talk to one of our coaches. We’re always happy to answer any questions. You can schedule a call that works for you with this link:

{"email":"Email address invalid","url":"Website address invalid","required":"Required field missing"}